Step 3 - Chart of Accounts

Classify, order, group, format and layout your CoA in an individual company

Calen Olesen avatar
Written by Calen Olesen
Updated over a week ago

Contents

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โ—Notice: This article refers to your Chart of Accounts for an individual company. If viewing the settings for a consolidated group, proceed to the following help article: Consolidated Chart of Accounts.


Setting up your Chart of Accounts in Fathom

The โ€˜Chart of Accountsโ€™ (CoA) is in Step 3 of the company's 'Settings'.

The correct order and classification of accounts will ensure the accurate calculation of your financial KPIs and a meaningful presentation of your financial statements.

The first time you import from your source accounting system, Fathom will do its best to replicate the existing chart of accounts structure to provide a helpful layout.

Fathom will also set the terminology for the company based on the default terminology for your organisation.

๐Ÿ’กPro Tip: If you have industry, regional, or organisation reporting standards that require different financial terms, you can change the terminology used for the company. Please see our 'Custom Terminology' article for more information.

For subsequent updates, the structure, hierarchy, and terminology of your CoA in Fathom (including ordering, headings, and classifications) will all be retained according to your settings in Fathom.

๐Ÿ“ Note: It is not possible to change the name of an account from your source accounting system (QuickBooks, Xero, MYOB, Excel) in Fathom. The account name must be changed within the source system and then updated in Fathom.


Classifying Accounts

While Fathom will automatically classify your accounts. It is a good idea to review the classifications to ensure they are correct.

Fathom assigns a primary and sub-classification to each account. This is how Fathom is able to recognise what kind of account it is, and this forms the basis for how the account is treated in calculations.

View the classification guidelines to see a detailed explanation of each account classification.

You can reclassify accounts in three different ways:

  1. Using the โ€˜Reclassifyโ€™ menu. When you hover over an account, you will be able to click the โ€˜Reclassifyโ€™ button.
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  2. Using drag and drop. Each account can be dragged into a different classification.
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  3. Select multiple accounts by ticking the checkbox on the left of each account. An option to reclassify all selected accounts will appear at the top of the screen.


Customising the chart of accounts layout

To make customisations more quickly, you're able to select several accounts at once. You can reclassify all the accounts you've selected or create a heading or subheading that encompasses all the selected accounts.

You can easily select a range of accounts by selecting an account, and then shift-click to select another. All accounts between these two will be selected. This is useful if you have multiple accounts in a row that you wish to select.

๐Ÿ’กPro Tip: If you have multiple companies, you can copy the Chart of Accounts layout between companies.

The customisation options for your Chart of Accounts include:


Headings and Subheadings

Fathom enables you to group accounts under headings and subheadings.

Grouping accounts creates structure and hierarchy, which flows through when viewing your financial statements in the analysis tools and reports. You can then collapse and expand headings to show different levels of detail. A subtotal will be shown for every group.

For more information on creating groups of accounts under headings and subheadings, view our 'Headings & Subheadings' article.


Positioning and ordering

Easily reposition accounts by dragging and dropping. You can drag and drop accounts into different headings or across to different classifications (e.g. drag and drop an Expense account into Cost of Sales).

After selecting multiple accounts, you can reposition them by dragging and dropping them or by clicking 'Move to' in the menu bar at the top of the screen. You can then select any heading/subheading to move these accounts instantly. This is helpful if you have a large Chart of Accounts with multiple headings.


Sort by account code or alphabetically

You have several options to change the way you view or sort your Chart of Accounts by clicking the 'View/Sort' icon at the top-right of your CoA (next to the 'Revenue' classification heading).

๐Ÿ“ Note: Fathom will respect the structure of headings and subheadings in your CoA when reordering accounts. Accounts will only be reordered by alphabet or account code within the same heading.

Alphabetically

To re-order accounts alphabetically,

  1. Select the 'Three lines, Three dots' icon at the top right of the Chart of Accounts
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  2. Click on the 'Reorder Accounts' dropdown
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  3. Choose 'Alphabetical'

Account codes

Select the checkbox to show or hide account codes. Fathom will source account codes directly from your accounting system. This checkbox will be greyed out if you do not have any account codes.

To re-order accounts according to account code,

  1. Select the 'Three lines, Three dots' icon at the top right of the Chart of Accounts.
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  2. Click on the 'Reorder Accounts' dropdown.
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  3. Choose 'Account Code'

๐Ÿ“ Note: Account codes will not automatically be shown in a custom Fathom report if this option is checked in 'Step 3 - Chart of Accounts'. They will only be displayed when you check the 'Show account codes' option for a financial statement or Excel report.


View archived accounts

To view archived accounts as you're re-organising your Chart of Accounts,

  1. Select the 'Three lines, Three dots' icon at the top right of the Chart of Accounts
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  2. Click on the 'Archived Accounts' checkbox.
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    ๐Ÿ“ Note: This option will be greyed out if you do not have any archived accounts.

Archived accounts are still imported into Fathom when they have historical data in order for accounts to reconcile correctly.


Chart of Account Status

You can quickly identify the status of an account using a small coloured indicator. For more information, visit our guide to Chart of Account Status updates.


Next Steps

Congratulations on setting up and organising your Chart of Accounts! Any decisions you made in your Chart of Accounts in Fathom can be changed later on if needed. Continue the 'Getting Started Workflow' and finish setting up your company for analysis, reporting, and forecasting by choosing from one of the next steps below:

What you want to do:

Next step in the setup process:

Happy with your Chart of Accounts organisation and ready to set up KPIs?

Happy with your chosen KPIs and ready to set targets for your company?


Additional knowledge and common questions

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